New plan for car prices

According to Eqtesadonline, quoted by ISNA, Javad Fallah, referring to the method of car pricing in the country, said: So far, new cars in the country, especially in recent years, have been priced by the government and manufacturers based on the price set by the government Have offered the car. Accordingly, the car is traded in second-hand markets at very different prices from the price offered by the automaker, and this trading model, due to the demand queue it has created, has led to a lottery to determine who owns the cars. Which have a sharp price difference with the market.

He explained about the model that is designed for the supply of cars in the commodity exchange: One of the models proposed in the commodity exchange is that the car is offered in the commodity exchange and the price is discovered based on the market mechanism and supply and demand. . For this model, standard futures contracts can be used. That is, the automaker should offer its car in the form of a futures contract. As a rule, some offers can be short-term futures and some long-term futures. The buyer also pre-purchases the car in the form of a futures contract and receives the car from the automaker at the maturity of the contract.

The director of physical market development of Iran Commodity Exchange continued: “Once the car is identified in the exchange and the buyer, until the maturity, the possibility of the secondary market can be used, if the person who bought the car wants it in the secondary market.” Sell ​​to someone else, be able to make the deal.

Fallah explained about the advantage of this plan: The advantage of this plan compared to the current model is that the car becomes a single price and will be a price that is the same price discovered in the market. This price will be the price that is discovered based on the supply and demand mechanism in the stock market. A person who has bought a car on the stock exchange under the above-mentioned contracts can offer it to another person on the board as the carmaker sells the car.

He said that the guarantee of the automaker’s obligations occurs in the stock exchange, adding that if the automaker fails to deliver the goods on time for any reason, the stock exchange will pay damages to the buyer from the place of guarantees obtained from the supplier.

Director of Physical Market Development of Iran Commodity Exchange, stating that the model can be used for high-volume cars, added: Automotive for low-volume cars for which there is no idea to form a secondary market and resale for them, can be used as a sub-market for Commodity Exchange Use the market as a one-time transaction in the form of a contract that can be futures or cash.

Fallah answered the question about the stage of this plan: Meetings have been held between the Commodity Exchange and car manufacturers in this regard. Of course, the decision in this area is not with the commodity exchange or the car manufacturer, and the competent authorities must decide in this regard. This plan has been proposed by the Commodity Exchange and the Exchange is ready to offer the car like other commodities based on trading models.